Swiss Bank Refuses Large Cash Withdrawal
Posted byDaniel Brown//April 29, 2015//Investment,Money & Finance.
Swiss Bank Baulks
Swiss banks used to be world-renowned. The nation has had a reputation for banking secrecy and international neutrality, making it a relatively safe place to store wealth. Unfortunately, the costs of Swiss banking might soon outweigh those benefits. As negative interest rates continue to permeate the Swiss economy, at leastone bank has declined a customer’s request for a large cash withdrawal. This probably occurred at the direction of the Swiss National Bank (SNB).
Thenegative interest rates took effectat the central bank in January 2015 amidst a failing Russian economy and crashing oil prices. Private lenders have been forced to follow suit. Instead of paying interest on deposits, some nowchargecustomers for the use of their money. This has been a huge blow to the fiscally responsible Swiss. Those with retirement funds and similar investments are nowlosingmoney by keeping it in the bank.
Further problems arose when one pension fund manager tried to avoid those losses. He wanted to withdraw his fund’s money from the bank and move it to a separate storage facility. That would save his clients 25,000 Swiss francs per year for every 10 million francs in the fund. Storing cash in an insured vault would still cost money, but it would be far cheaper than keeping it in the bank.
http://news.anthemvault.com/swiss-bank-refuses-large-cash-withdrawal/
Posted byDaniel Brown//April 29, 2015//Investment,Money & Finance.
Swiss Bank BaulksSwiss banks used to be world-renowned. The nation has had a reputation for banking secrecy and international neutrality, making it a relatively safe place to store wealth. Unfortunately, the costs of Swiss banking might soon outweigh those benefits. As negative interest rates continue to permeate the Swiss economy, at leastone bank has declined a customer’s request for a large cash withdrawal. This probably occurred at the direction of the Swiss National Bank (SNB).
Thenegative interest rates took effectat the central bank in January 2015 amidst a failing Russian economy and crashing oil prices. Private lenders have been forced to follow suit. Instead of paying interest on deposits, some nowchargecustomers for the use of their money. This has been a huge blow to the fiscally responsible Swiss. Those with retirement funds and similar investments are nowlosingmoney by keeping it in the bank.
Further problems arose when one pension fund manager tried to avoid those losses. He wanted to withdraw his fund’s money from the bank and move it to a separate storage facility. That would save his clients 25,000 Swiss francs per year for every 10 million francs in the fund. Storing cash in an insured vault would still cost money, but it would be far cheaper than keeping it in the bank.
http://news.anthemvault.com/swiss-bank-refuses-large-cash-withdrawal/
